No one ever started a business intending to fail. Your business was built to support your income needs and provide a service to your customers. We don’t have a crystal ball, unfortunately, but we do know that in the future will come changes, whether retirement, health challenges, or more.  

Planning for the future of your business is good business sense. You’re planning to make the best of every situation, not just during the easy (and lucrative!) times.  

How can you future proof your business?  

Prepare for the Unexpected 

You’ll need for a moment to think about worst case scenarios as well as best cases.  

Best case is that everything is going brilliantly, and everything happens as per your business plan. Your accountant is singing your praises and everything is lucrative.  

But unfortunately, sometimes things might go awry. Working through possible outcomes makes good business sense to be ready for the unexpected. After all, what happens if you pass away? What happens if your capacity to work is reduced? How do you manage if you’re burnt out? 

Just thinking about it is not enough. Getting insurance is a great step towards peace of mind, but won’t help your business to keep functioning without you if you’re unprepared. You need to create a plan and then action it, and it can take months or even years to get those plans in order.  

Talk to professionals and discuss it with your accountant. If you’re ready to talk to someone, click here to book a chat with Northwest Accountancy. 

Considerations for Your Business’ Future 

Long term, your business will either grow, stabilise, or shrink. Looking forward now, you can choose what option you’d like and start to plan accordingly.  

• Scalability - if you want to grow your business, it needs to be able to handle more volume. Do your processes and structures support such growth?  
• Succession Planning - What happens if you pass away unexpectedly, or are suddenly unable to work? Will your business be able to continue without you? Would your replacement be able to hold the fort while you recover from an accident?  
• Financial Forecasting - Understanding your numbers and being able to work with trends to make accurate forecasts will be useful when looking to sell, retire, or create succession plans.  

Scalability may also be important if your plan is to sell the business before retiring. The new owners may be looking for a business ready to expand, and this will make the purchase more attractive. Good succession planning will also support any transitions to a new owner, or if you choose to go part time or take long holidays. All three of the above considerations help support you in your goals.  

Cashflow Clarity 

A Cash Flow Clarity session with a Northwest Accountant will help you look at everything you currently own, or owe, and help you to figure out potential shortfalls. Seeing everything laid out in Xero can help you to understand your current financial situation exactly, and then help you to create the retirement life you desire.  

This is a deep process into your business and home finances, which looks at tracking all your expenses to build an understanding of where your money is going, and if it’s going to the right places. Tax minimisation is a key part of these sessions, ensuring you’re legally avoiding paying too much tax and keeping money where it should be - in your pocket.  

If you’re worried about the future and would love some trusted, experienced help in this area, give us a call on 08 9185 9400 or drop us an email to Helen at [email protected]